How The Fed Kills A Few Small Banks To Herd Depositors Into The Central Banks
As Caitlin Long of Wyoming’s Custodia Bank explains here:
Enormous amounts of Covid stimulus money (5 trillion) was deposited into small and regional banks.
Many banks did what most would consider the safest thing possible: Put the money into T-bills.
Now the Fed pumps up interest rates “to control inflation”, they say, while printing money like crazy…
This causes the sale price of T-bills on the open market to plummet, as planned, which makes the small and regional banks vulnerable should they need to sell the T-bills before they mature.
No worries - there would be no need to cash them out before they mature unless there was a panic and following bank run.
Remember, all banks are in this position. No bank (except Custodia) has enough money to cover all depositors in the case of a bank run.
Hmmm? Who can the central banks get to start a bank run?
Peter Thiel also associated with Silvergate,- Credit Suisse, - and FTX starts the panic at SVB. Well done! SVB collapses.
Then regulators take advantage of the confusion and shut down Signature Bank even though it was still solvent.
Good job! The last crypto friendly bank in the US has been destroyed.
Extra points for killing the crypto banks but this has very little to do with crypto.
Yes, the Federal Reserve (the central banks) want to prevent US citizens escaping from their fiat system (their Ponzi scheme) but that is not the end game.
This is about corralling US citizens into central banks for a CBDC lockdown where they can keep running their scam.
And with the switch to a CBDC they can:
control what you are allowed to buy,
continue to steal your money through inflation and lack of transparency,
print money to fund wars, bio-weapons labs, and prisons that nobody wants,
and they can turn off your money if you complain about.
The Federal Reserve (a cartel of big banks) is raising interest rates to crash small banks. This is to frighten US citizens into the “safe” central banks which will make it possible to lockdown all the money in a Central Bank Digital Currency.
They don’t have to crash them all, they just need to start panics in a few of them to get the herd to move all their money into the central banks.
So if all depositors are being corralled into the top 10 or so banks for a CBDC lockdown by crashing a few smaller ones, where does this leave all the small and regional banks? And where does this leave free Americans?
Cardano has the opportunity to gain two new powerful allies:
- The small and regional banks that can now be shutdown at any time, and
- All US Citizens that don’t like being corralled into the Central Banks for a CBCD lockdown.
The following is what we all want:
- Dismantle the Federal Reserve
- Dismantle Cooperate Personhood
- Convert US currency from fiat based to equity based with the most decentralized cryptocurrencies included in the equity.
Crypto needs allies now!
What can be done to pull small and regional banks and all US citizens into the fight against the Central Banks and a CBCD lockdown?
The book, The Creature From Jekyll Island can be downloaded here.
Or listen to the audio book here.
I first heard Russell Napier talk about “Financial Repression” in a MacroVoices podcast (Jan 2021)
I also listened to Russell Napier on a Demetri Kofinas podcast (Jul 2022)
“To force savers to have their money in fixed interest securities at a level of interest that is below inflation”…
“If property is made less attractive by putting in place rent controls, then maybe people will buy more govt bonds. If very high transaction taxes are placed on equities, then maybe people will buy more govt bonds. If there are capital controls in place to prevent money from leaving the country then it is easier to force it into government bonds.”
Operation Choke Point 2.0 is an example of the capital controls he was predicting.
How is your 401K (superannuation) invested currently and how might it be invested in the future if government regulations change?
Does anyone truly believe that interest rates will, or even could, be maintained above the real rate of inflation? So we should borrow and buy hard assets, right?
Well, consider this recent twitter post by Mike Green:
“To the extent there is a “strategy” here, it will take form of “expensive credit for most, subsidized credit for policy.” You want to borrow to buy a house? 7%. You want to borrow to build a solar farm? 3%. You want to borrow to build a munitions factory? 0%.”
I believe the “global elite” see major cryptocurrencies as not viable threats.
- Bitcoin’s security model is flawed as halvings continue and it’s supporters are not open to redesign. Plus it has many ESG attack points. Consider Biden’s proposed new tax on electricity used to mine Bitcoin.
- Ethereum has major design flaws and many attack points that can be labelled as securities from it’s staking model to all of it’s DeFi. Imagine how much of Ethereum’s ecosystem could be tied up in legal battles with the SEC.
- Neither have enough scale currently anyway.
- Other cryptocurrencies like Cardano are too small and not ready.
I fear that it is going to be one hell of a bumpy ride.
If i might point out to help clarify your argument is What you are referring to as “Central Banks” are “Big Banks”.
In my opinion What we are experiencing with the Rate hikes outside of their intended use to combat inflation is a part of a historical process of our understanding, manipulating, and hopefully strengthening the economic and banking system.
For the past 10 years we have had a zero percent interest rate which has given many businesses and ideas an opportunity to make the most of the internet age
What we are experiencing now is a contraction that is creating some kind of “Economic, business, political Darwinism” scenario.
The “best” or what the public has accepted as the best will survive.
*CBDC’s don’t have to be this tool of tyranny that people are making them out to be
In reality everything we want out of a currency could be implemented or should be implemented through democracy
Does any one else find it awful and ironic that the State’s that are anti Cbdc, Texas and Florida are already looking to ban cbdc’s and all the government is doing is researching the idea of them. That’s a bit authoritarian if i may say so my self.